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  • #991372
    NotHard
    Member
    • Total posts: 1

    Hi Guys, This is my first post, so go easy on me. lol

    Long story but I have never had the opportunity to build a substantial super up in my work career [Now aged 57 years]. I mainly invested in properties, which I have now sold all of them. Hence I have cash in bank around $500k. I had a super fund of about $50k in it, but closed it when I turned 55 yrs. My question is can I now open a new super fund and put in my savings, so as to attract a better interest rate than the 3% on offer with the banks. Dearly love to put all of the $500k in if possible, as I believe most super funds are running at about 9-10% interest at present.
    Anyone know what the rules are, regarding large deposits into super these days?
    I believe the laws changed around July 2014. I have googled and read something about Non Concessional Contributions. Are life savings in the bank, considered Non Concessional Contributions?
    Thanks in advance guys !

    #1181254
    Past-Member
    Member
    • Total posts: 1,815

    Hi, firsly I am not a tax expert. I am self employed. From my understanding there is a limit to what you can contribute to super without being taxed extra.

    Alternatively you could have an investment with someone like BT Funds or similar who would give you a franked tax paid dividend twice yearly and to which you can invest in regularly if you wish. But I don’t know if that’s what is best and it would really be a good idea to talk to someone who specialises in investment advice.

    See more at the ATO here also https://www.ato.gov.au/Business/Super-for-employers/Working-out-if-you-have-to-pay-super/Super-for-the-self-employed/

    #1181255
    IrinaHollander
    Member
    • Total posts: 8

    Hi NotHard, you should be able to put up to $540K into super as a lump sum. Might want to also consider putting in $35,000 as a concessional contribution depending on your tax position. Please email me at irina@irinahollander.com.auif you have further questions. I will be able to recommend a v good financial planner too if you like.

    #1181256
    ThexArm
    Member
    • Total posts: 253

    I am not sure for the reasons why you have disclosed the numbers. If I were you I would be very careful with money. Find some good financial planner who can suggest you the right strategies to grow it for your retirement. Protect it from vultures.

    Sent from my iPhone using Tapatalk

    #1181257
    Jason Ramage
    Participant
    • Total posts: 3,162
    ThexArm, post: 211454 wrote:
    I am not sure for the reasons why you have disclosed the numbers. If I were you I would be very careful with money. Find some good financial planner who can suggest you the right strategies to grow it for your retirement. Protect it from vultures.

    Sent from my iPhone using Tapatalk

    Potentially staged first time poster, must say I thought disclosure of $$$ was odd in an open forum. Talking about financial planners, if an help you with a list of the most awesome financial planners – and I dot even get a kick back :) Lol

    When recruiting an FP, may I suggest you look extremely diligently. Ask friends and family who they use or have heard from, ask them about there own investment strategies and if someone is recommending one out of the blue always question why? The industry runs in referrals, some that are financial and require disclosure and some are back room referrals. Just saying.

    Good luck
    Jason

    Jason Ramage | Lucas Arthur Pty Ltd | E: hello@lucasarthur.net.au   P: 61 3 8324 0344    M: 61 412 244 888
    #1181258
    IrinaHollander
    Member
    • Total posts: 8

    I assume NotHard just wanted a straight answer to a straight question. I do not know who he/she really is and whether we will hear from him/her again ;) all the best, NotHard

    #1181259
    SmallBusiness Accountant
    Member
    • Total posts: 19

    Hi NotHard,

    Just fyi, whether money is held in super or outside of super wont greatly affect the interest rate that banks give you on savings accounts. The 9-10% that you mention, where have you gotten that figure from?

    The advantage of putting the money into super is that any income earned on investments will be taxed at a maximum of 15% in the fund. So if you had a high personal taxable income, putting money into super may give you a lower tax rate.

    Hope this helps

    Cheers

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